The Charles Schwab Corporation
|Company Name||The Charles Schwab Corporation|
On July 2, 2021, Charles Schwab disclosed that the Company had been “responding to an investigation” by the U.S. Securities and Exchange Commission (“SEC”) “arising from a compliance examination” and that the investigation “largely concerns historic disclosures related to the Schwab Intelligent Portfolios digital advisory solution.” The company warned that its second quarter 2021 financial results would include a liability and related non-deductible charge of $200 million.
On this news, Charles Schwab’s stock fell $2.03, or 2.8%, to close at $70.77 per share on July 6, 2021, thereby injuring investors.
Then, on June 13, 2022, the SEC announced that it had charged Charles Swab with misleading investors that used its robo-advisor product, Schwab Intelligent Portfolios. Instead of the “disciplined portfolio construction methodology” that sought “optimal return[s]”, Charles Schwab’s “own data showed that under most market conditions, the cash in the portfolios would cause clients to make less money even while taking on the same amount of risk.”
On this news, Charles Schwab’s stock fell $1.98, or 3.2%, to close at $60.24 per share on June 13, 2022, thereby inuring investors further.
Submit Your Information
If you suffered a loss on your The Charles Schwab Corporation investments or would like to inquire about joining an action to recover your loss under the federal securities laws, please complete the form below. Please note that submission of this form does not by itself form an attorney-client relationship nor does filing out this form mean you have joined any lawsuit.